Trade urges May to prioritise strategy on EU

The industry has welcomed an end to the uncertainty over who will be the UK's next prime minister, with the news that Theresa May will be appointed in the role tomorrow (13th July). But some have questioned May's voting record and also whether her unopposed appointment will create further problems.

Tim Hely Hutchinson, c.e.o of Hachette UK, said May was a unifying candidate and urged her to put together a strategy on Europe as soon as possible.

"I feel Theresa May has proved herself, as an excellent Home Secretary, and I also believe she is someone behind whom Leavers and Remainers can unite,” he said.  “I greatly preferred her to the other candidates, and the sooner she can put a new cabinet and a European strategy together, the better.  Our business, like most others, likes the future to be as clear as possible.”

Richard Johnson, group c.e.o of Bonnier Publishing, agreed. He said: “From a business perspective, it’s crucial we tackle the uncertainty surrounding Brexit as soon as possible. With this in mind, the acceleration of the Conservative Party leadership election is a good thing.”

Jane Winterbotham, publishing director at Walker Books, speaking in a personal capacity, meanwhile, hoped May had the experience to negotiate a “firm” deal with the EU. “I think it is good news to have settled the successor to David Cameron and it would seem best for her to take over immediately,” she said. “I hope her appointment will bring stability to this very fluid and unsettled situation. Her experience should enable her to negotiate respectfully and firmly with the EU to resolve the uncertainty in which the referendum result has left the country and our relationship with our key trading partners.”

She added that “at this stage” the UK needed “all the stability we can get,” and she should be allowed to “get on with the job rather than calling for an early election”.

However, Joy Court, CILIP Carnegie Kate Greenaway Working Party chair, feared May’s appointment could mean “rushing through an application under Article 50”, and believed an early general election should be called. Court said “at the very least” the UK should now have a general election which should be “fought on the Brexit issue.”

Court added that she thought May’s appointment was “illegal” given the Tory party’s “own rules state that it should give the membership a choice” and there were “no grounds for being elected without a contest”.

Court added: “Her voting record does not give one any comfort that she would have any more compassion for the poor and weakest in our society or for refugees from elsewhere. She was in favour of Remain but in order to get herself top of the ballot has abandoned that position, (which) leaves one with no faith in her integrity… The fact that we would have a female leader is irrelevant.”

Alessandro Gallenzi, publisher at Alma Books, said he hoped there would be a new election, but was not sure it would be “in the interest of the country as it may create even more anger, frustration and disruption”.

He added that May’s calibre as the prime minister was “too early to call, but the fact that she is a woman means that she probably won't be driven by ego and will be more level-headed, practical, grounded and compassionate”. He added: “I am not a Tory by any stretch of the imagination, but at least she's a Remainer, not a Brexiteer.”

In terms of what impact May’s appointment will have on the markets, Nick Bubb, retail analyst, said the City would be pleased that some of the “political vacuum” has been filled in by the coronation of Theresa May as PM, “even though her lack of a mandate from party members or from the electorate may yet cause problems”.

However, he added: “There remains considerable uncertainty about how Brexit can be achieved without undermining the London housing and jobs market, with the Bank of England’s latest monetary policy easing likely to be increasingly ineffective.”

Stephen Lotinga, c.e.o of the Publishers Association, said he looked forward to working with the new Prime Minister and her team to ensure that the interests of the publishing industry were at the forefront of the new government’s agenda. “Negotiations with Brussels over the shape and scope of our future relationship with the EU will be an incredibly important part of this conversation,” he said.